To promote the adoption and use of e-prescribing by eligible professionals, including physicians, the Medicare Improvements for Patients and Providers Act of 2008 (MIPPA) established a 5-year Medicare incentive program beginning in 2009.  The law also included a penalty phase beginning in 2012 that runs through 2014 for physicians who are eligible for the Medicare e-prescribing incentive payments but fail to e-prescribe. Use the table below as a quick reference for Medicare’s Incentive Program (top table) and the Payment Adjustment Program (bottom table): Medicare E-Prescription Medicare Program: 2009-2014

Leaving out the nuances of the program, eligible providers need to report 10 eRx cases in the first 6 months of the year to avoid the penalty in the following year. Additionally, providers could avoid the penalty for 2013 if they had reported 25 eRx cases in 2011 and for 2014 if 25 eRx cases are reported in 2012. Coincidentally, the 25 eRx cases would also qualify the providers for the incentive program for the same calendar year.